What is Infrared Finance (IRNC)?
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🟢 The simple version
Plain English — no jargon. Start here.
Infrared Finance is the Convex of Berachain — it runs validator infrastructure on Berachain's Proof of Liquidity network, accumulates BGT (the non-transferable governance token you earn by providing liquidity), and issues iBGT as a liquid, transferable version of BGT, solving the fundamental problem that BGT itself cannot be sold or moved.
Why BGT needs a liquid wrapper
Berachain's Proof of Liquidity has three tokens: BERA (gas), HONEY (stablecoin), and BGT (governance). BGT is non-transferable — you earn it by providing liquidity in approved pools, but you cannot sell it or send it to another address. Your only options with BGT are: delegate it to a validator (to influence where emissions go) or burn it 1:1 for BERA. For many users, neither option is ideal — they want the value of their BGT farming activity without being locked into validator politics or forced to convert to BERA.
Infrared solves this exactly the way Convex solved the veCRV problem: it runs validators on Berachain, accumulates BGT from its liquidity positions, and issues iBGT — a fully transferable ERC-20 token representing BGT held by Infrared. iBGT can be sold, used as DeFi collateral, or bridged. Infrared also automates the process of pointing BGT emissions toward the highest-yield pools, maximising returns for depositors.
IRNC token
IRNC is Infrared's governance token. It controls protocol parameters including which vaults Infrared's BGT votes are directed toward, fee settings, and validator management. IRNC is separate from iBGT — iBGT is the yield-bearing receipt token, IRNC is the governance layer. Holders of IRNC can also earn a share of protocol revenue from Infrared's validator and vault operations.
Is IRNC legal in India?
Yes. IRNC qualifies as a Virtual Digital Asset (VDA) under Indian law. 30% tax on gains and 1% TDS applies. Always consult a tax professional.
🟡 A bit more detail
For when you want to go a little deeper.
iBGT — practical uses
With iBGT you can: sell your BGT farming yield immediately rather than being stuck with non-transferable BGT; use iBGT as collateral in Berachain lending protocols (like Bend — Berachain's native lending market); provide liquidity in iBGT/BERA or iBGT/HONEY pools for additional yield; or simply hold it as a liquid claim on Berachain's governance participation. iBGT effectively monetises BGT farming without requiring users to navigate Berachain's validator politics.
Infrared as Berachain's "meta-governance"
Because Infrared holds large amounts of BGT (delegated by its users), it has significant influence over where Berachain's BGT emissions flow — which pools get rewarded, which protocols get liquidity incentives. This makes Infrared a central political actor in Berachain's ecosystem, similar to how Convex became a kingmaker in Curve Wars. Expect a "BGT Wars" dynamic to emerge on Berachain as the ecosystem matures: protocols bribing Infrared/IRNC holders to direct emissions to their pools.
Infrared's entire value proposition is Berachain-native. If Berachain's ecosystem fails to attract meaningful DeFi activity, BGT emission rates decline, or the PoL model changes in governance, Infrared's utility diminishes directly. This is high-conviction-on-Berachain required. Live data: CoinGecko
🟣 The full technical picture
For the technically curious.
Key facts
- Token: IRNC (governance + fee-sharing)
- Receipt token: iBGT (liquid BGT — transferable, 1:1 BGT backing)
- Chain: Berachain
- Function: BGT liquid staking + validator infrastructure on Berachain
- Analogy: Convex Finance for Berachain's BGT (vs CRV on Curve)
- BGT management: Automates directing BGT votes to highest-yield vaults
- Mainnet: February 2025 (Berachain mainnet)
- Position: Core Berachain DeFi stack alongside BEX, Bend, Berps
Infrared vaults and BGT emission routing
Infrared operates "Infrared Vaults" — deposit your approved Berachain LP tokens (e.g. HONEY/WBTC BEX LP), earn BGT emissions from Infrared's validators which are automatically converted to iBGT. The vault auto-compounds: earned BGT becomes iBGT, which can be deployed back into vaults for compounding. The protocol's validator set votes its accumulated BGT toward whitelisted vaults each epoch, ensuring depositors' underlying positions receive continuous BGT emissions. The BGT vote routing algorithm prioritises vaults by TVL-weighted APY — a live feedback loop between deposits and reward direction.